Tuesday, June 26, 2012

MORTGAGE RULES CHANGING JULY 9TH

Finance Minister Jim Flaherty announced changes in the mortgage rules.  The 4 changes that will take effect July 9th, 2012.
  • Maximum amortization reduced to 25 years from 30 years
  • Maximum amount you can refinance your home is lowered from 85% to 80% 
  • Gross Debt Servicing (GDS) maximum is 39%, Total Debt Servicing (TDS) is 44%.
  • Homes with purchase prices of one million or above will require a minimum down payment of 20%.

Canada’s mortgage market is one of the safest in the world. They make these changes to secure the financial market and to keep the economy running smoothly. 



If you are currently looking or are thinking about buying, don’t delay, finalize your home purchase and get your mortgage approval before July 9th, 2012. Enjoy the benefits of the current rules before they are changed.




Feel free to call or email me with any questions that you may have. 
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